Reward Credit Card Benefits
Credit card companies are pulling in people of every aspect to entice them to spend money and create higher interest charges. They have rewards cards out now that appeal to every type of consumer and their varied spending habits. They cater to the frequent flyers and mall shoppers. But don’t blindly fall for their tactics. Take advantage of a rewards card that will provide the most benefit and greatest savings for you.
Rewards cards are great thing for the above average shopper. However, be forewarned that they generally have higher interest rates than regular credit cards. Since these cards come with a higher APR you might not want to use this type of card if you are going to make a big purchase and spend months paying it off. Conversely, if you frequently by small things and pay off your balance every month this card is right up your alley.
Now that you know a few nuances of using your rewards card, there are a few tips to maximize your benefits. One thing you can do is have credit cards for all of your family members to use. If your whole family is using your rewards cards you will soon be rolling in rewards points, although I would be a little cautious of who has the card uncontrolled in my family.
Make sure you are paying for your everyday purchases with your rewards card. You’re going to be spending the money anyway, so why not earn some points back for it. One tip that always seems to help me keep my spending under control is to write whatever I spend on my card out of my checking account so that way I’m not wincing at the statement every month.
Keep your eye out for those special sign-up bonuses or intro offers. Chances are your rewards card is enrolled in one of these programs which is usually a certain amount of months with 0% APR or a high amount of cash back for a certain time period. This is the time that you want to take advantage of those programs and earn everything you can.
Take advantage of your credit card company’s promotions and limited-time offers. Some credit cards give you special incentives to use their card at certain places or shop with certain stores. Find out if your card falls into any specials like this and use your cards here to maximize your rewards.
Stick with your credit card company. Building up rewards is like playing the stock markets for long term goals. You need to find a good fit and stick with it through thick and thin. Loyalty goes a long way in the credit card industry.
Just a little more food for thought, the first thing I will leave you with is don’t go crazy, credit cards are not free money! Keep your spending in check and make sure you pay as much off every month as you can. The lower your monthly balance the better you look in the eyes of your lender and the more of your rewards you get to actually keep without wasting money on interest and fees.